Jami's First Piggy Bank

Was saving money an easy job for you? If not, then read on. =)

Last year was another milestone for Jami as he has finally learned the importance of piggy bank and saving money. Was it easy? No. I have to constantly remind him what the money is for and tell him he can't buy new toys until piggy bank is full.

The Struggle

When Jami was only 2 months old, he was given an aguinaldo which I decided to save and put it on a plastic coin bank. A day after, he was rushed to emergency room due to Pneumonia. Since then, I heard that saving coins on a piggy bank was a bad idea. Para daw may pinaghahandaan kang sickness or a tragedy or problem etc. I have to get the money and spend it. Four months after, I opened a BDO Junior savings account for him. This way, I could put all his money for safe keeping. Unfortunately, I have to close it out last year because I have decided to put this money on my small business and make it double in a short period of time. Yes it did but eventually have to spend it somewhere else. Note: hindi sa luho. 

In my growing up years, I have never realized the importance of saving. It wasn't instill to my bones so it didn't become a part of me at all. I had money? I'll spend it to something I really want. Para bang hindi ako nakakatulog when I know I have money and I have to spend it or else I won't be happy at all. It was such a sad reality that's why I am so glad that I had so many realization last year. I learned a lot and I knew kung saan ako nagkulang and how to fix it.  

The Concept of Saving

Fast forward to July 2017, I decided to start teaching Jami the concept of piggy bank.I tried a different approach. When Nanay saw that we were serious in saving, he bought Jami a red piggy bank. Hinahayaan ko syang mag hulog ng money so he will feel the responsibility and joy of saving. Below are the two things I thought of before we start.

1. Goal - It's very important you know what you are saving for. In his case, I asked him if he wants a bicycle. He said yes so I always tell him that his piggy bank, once full, could buy him a bike. With a goal in mind, we know what the money is for which kept both of us motivated to continue putting coins.
2. Delayed Gratification - This is to remind him that we don't have enough money to buy a bike so he has to wait until the bank is full. Although he feels sad when I he asks for something but piggy isns't full yet, I tried my best to encourage him that piggy is getting heavier and will be full in no time. Madali pa naman mauto so I didn't have any problem so far. Haha!

I also gave these instructions to Jami:

• He should put all 1 peso coin only. Whenever he sees one lying around the house or if someone gave him money, it should go straight to the coin bank. The only downside is, kapag nakakita nga sya ng coins, ilalagay nya regardless if sukli ko ba yun or coins ng daddy nya. There were times na when he see a wallet and found that it has coins inside, kukunin at ihuhulog sa piggy nya. Hahaha! It was cute but it was not right so I told him he has to ask permission to the owner of the coins if it's okay na ihulog yun sa piggy bank nya. Lol!

• DON'T ALLOW ANYONE TO OPEN HIS PIGGY BANK. Yan! I told him don't let daddy get money on his piggy hahaha! True enough, when he wants new toy tapos nagta tantrums kay Nanay, he will be told na he doesn't have money but he can get on his piggy bank. Then he will remember that he cannot open his piggy bank yet so shut up na sya after. =D

• His piggy bank, once full could buy him his own bike. Whenever he asks for a new toy or when he wants something, I always remind him that his piggy bank isn't full so he can't buy it yet. Except those times that he was doing a good job in school, pinagbibigyan namin to buy what he wants. Solely his piggy bank is dedicated to be opened in December. 

 The Opening Day

December 17, 2017 was when we decided to open his piggy bank kahit hindi pa puno. It was halfway full pa lang but I opted to count it to check his progress and to be able to buy him what he wants for the holiday.

In total, Jami saved a total of Php 2,260 including money gifts for his birthday. The same day, we went to Robinson's Las Pinas to exchange the coins and get rebates however, their budget of giving rebates were all used up the previous day so we had no choice but to exchange it without any rebates at all. We have no choice, ang bigat magdala ng madaming coins because we brought along my own 10 pesos challenge. Last minute, Jami decided he wants to buy a new toy. He has a thing with cars so when he saw one with tracks, he liked it and took it home. We spent Php1,000 so he was left with Php1,300. I am thinking of opening a new bank account for him where he could go to the bank and put his savings there by himself. 

Realization

You know I realize, hindi naman masama yung nag iipon ka ng coins at home. Sickness come regardless kung may ipon ka o wala. It's actually better if you have something saved at home for cases like that kesa naman you believed na masama and didn't save then you get sick diba? I want Jami to learn as early as now the importance of saving his money so he won't learn it the hard way like I did. I am just hoping that we will be consistent in doing it. I know I have to be the best person to set an example so help me God.

For this year, Nanay bought Jami another piggy bank which was a lot smaller compared to the previous one. Although I prefer the bigger one so it will take time to get full and will be very timely in December to open, I am thankful he gave Jami a new one. We are almost halfway and probably just buy a new one when we filled this out earlier than December. Our new goal was to really, really, really buy a bike na daw talaga. haha! Okay fine.

This year will be an #Amazing2018 for us. Let's see by the end of the year how our saving goals worked out. How about you guys? Share nyo naman saving strategy nyo for your kids! =)

SSS Loan Restructuring Program

Part of my goal last year was to pay my SSS loan that I took late 2012. This wasn't done so I had to recycle this goal to this year. Good thing, they have a restructuring program that's open to those who has a delinquent loan status.

Just to give you a background, I took out the loan without knowing where to put the money. Maka-loan lang ganun! Hahah. I cannot remember if somehow, I had the need back then but definitely don't remember using it to something worthwhile. I submitted the voucher 3 months late to our payroll because I didn't know that I had to. Basta tinago ko lang and I thought it will be automatically deducted na. Hay naku, those days na batang-isip ka pa talaga.

I know I have mentioned before that I tried to pay this off when I get back to corporate 3 months after giving birth to Jami but our company said I cannot since it's near maturity date daw. Good thing, the SSS Loan restructuring program opened its opportunity last year up to April 2017.

When my schedule allowed me, I took advantage of the program to finally settle my outstanding loan with SSS.

How to Apply in SSS Restructuring Program 

 

Photo from sss website

Applying for the program is easy.

1.  You just have to go to the nearest SSS branch and ask about the Loan Restructuring Program.  
2. You will be asked to fill out a form. Lining up can take a while but surely it will be worth the wait. When you're called, bring the paper back to the staff for processing. Take note that they require you to notarize some papers/forms.
3. You will be asked to wait for your name to be called again. This time, the paper works are ready and the staff will explain to you how much your amortization will be depending on how long you wish to pay for your balance. Once agreed, you will then sign the papers. Copies will be given for your own records along with a voucher like paper.

That's it! Or at least how I remembered it was. It just took a little over an hour waiting for my name to be called which I understand since it was the last couple of days of the program. You may check SSS website as to when the offer will recommence.

Paying the SSS loan is very convenient since you can drop by at any bayad center, Department Stores etc. I am paying mine here in Savemore, Chino Roces and so far so good. I haven't visited the SSS branch yet to confirm if my payments are going thru, but for my own records, I kept all the receipts just in case I need it in the future.

My SSS loan reached Php24,000++ because of interests and penalty. The principal amount was only Php15,000. Because of the restructuring program, I was able to minimize it to Php18,000. They removed the penalty charges around Php6,000+ which was a really big help. Sayang din yung Php6,000 ha. Anyway, I have decided to pay it for 24 months. I want to be able to pay it slowly but surely. Yeah, sayang yung interest rate charged for another year instead of paying it for 12 months lang but I opted to stick to my budget of less than Php1,000/month. I think it will be better knowing that I will be able to pay it slowly kesa mapasubo ako to pay more than my budget could allow tapos magmi miss din ng payment diba?

As of the moment, I was able to pay 6 months of my monthly dues so that means I have 18 months left. Thinking of it that way makes paying the loan easier than to think of it as if one and a half year ko pang babayaran. Lol! Hindi ko nga na feel na pang 7th month ko na this November.

Being under the restructuring program allow the members to pay the loans easier and be able to get back to non-delinquent status. During the course of the loan, the member is not allowed to apply for salary loan. You can only do so 6 months after your paying term. That means I will be able to take out a new loan November 2019 pa which is fine because I am trying to avoid taking out new loans. =) By the way, if any chance you missed the payment in three consecutive months, the penalty amount taken from your loan will be returned back. At least that's how I remembered the staff's explanation. If you have further questions about the program, please call the SSS hotline 920-6446 or visit any branch.

I know being able to pay my loan from SSS is a huge relief. Ang lakas maka feel ng financial freedom! Loooll!! Hahaha joke lang. But yeah, it feels good paying your debts and knowing that you don't need a new debt to cover the previous one. =)

When I get the chance to visit the SSS branch, I will update this post to confirm that all my payments are indeed being submitted correctly. For the meantime, let's assume that it is and all is well. =)

Some Plans failed 2016

2016 has 19 days left.

Wait what??

19 days??

Oh men! Time flies really fast. It's as if my mind is still in July when I was planning how to build our Emergency Fund. Well, thinking about it now makes me a little sad but then, I know that the change of priorities was a greater idea.

If you haven't read about my plan on building a small amount of fund to start with, I wrote about it in August. I actually read it again before I started this entry and I realized, what a great plan I had in mind. Unfortunately, the execution of the plan was the real challenge.

So what has changed? 

 Back in September, I thought about buying a gas range. My baking business was growing day by day that I am having a hard time accommodating orders that are coming. I have my maximum of 12 pieces Yema Cakes that I could bake from 7am-11am. Some days requires 24 pieces of Yema cake and as much as I want to commit, I was really having a hard time. My full time job got affected somehow and I have to even choose which is which. Of course I wouldn't want to quit my day job only because I am happy with it. But then, baking is where my heart is so I know I wouldn't want to give up on it too. The next option I have in mind was to buy a much bigger oven. I was using a Hanabishi 30L Convection Oven and that could only accommodate 6pcs of llanera. I was aiming to bake 12pcs in a batch to cut the time required for baking.

Decision. 

Finally, I have decided to buy a White WestingHouse Gas Range with 62L oven. I was so glad with the purchase although I was hoping it could accommodate one whole batch of Yema Cake. It wasn't but then it really helped with my baking. I was able to cut the labor time for making the cake with the help of my convection oven. With this new endeavor, I failed to save for my emergency fund further as I have to borrow money to make this happen. I also bought a stand mixer to go with the new oven since my hand mixer cannot keep up with the orders.

Failing to Think Ahead. 

Rather than using all of my savings to make this purchase, I decided to borrow money from a friend which ended up making my budget tighter. Because of this, I was so afraid to compute my weekly budget because I know it will surely go to negative and will only stress myself more. The first few months of having this new gas range helped me cope up with the bills and expenses. I knew I made the right decision. Although I invested money for my business without enough fund, I knew it was okay until sad events happened. Nanay had to be confined in the hospital making it hard for us to bake and deliver cakes as no one will look after Jami. I also let relatives to borrow money that ending up me having to shoulder some of the installment at some point. That took a toll on our expenses that I felt it will be really hard for me to come back up. I was paying for my own loan while paying for someone else too.


How Could I let this Happen?

I was blaming myself all the time although I couldn't say I had a depression. It was far from that and I am thankful I had my own family to stand on me on these events. I also had friends whom I could vent out too when it was too much to handle. I was thinking negatively that it will be really hard for me to go back on track. I knew how it felt having debts but I let it happen again. Jami's birthday came and that I had nothing. It was so sad that I had to incur more debts just to cover up the losses I had in the process.

Turning Point.

When Nanay recovered, I had the chance to start selling cakes again. Our 13th month pay came and I used it all to cover most of them. I know I don't need a new phone, a camera, new clothes or shoes. I know these things could wait. I could say I can finally see the light. I am 98% clear with debts and I could budget our money even more. I am now trying my best to plan our meals ahead of time to save more money than buying ready cooked meals or even fast food. With home cooked meals, I could save 100 pesos daily since I no longer have to buy food while in the office. I started listing down all of my expenses again and trying my best to separate my sideline's money to my personal money to avoid it being spent unnecessarily.

What Now?

Jami's about to go to school next year so I have to make sure I have funds for that. I don't want to incur any more debts. I am starting over with my financial journey in building the fund with a new strategy and I am hoping I could see it work in the coming days. Daryl also had the chance to undergo a training in Naia T3 and I was crossing my finger that we could hear a positive feedback after the holidays. Speaking of the holidays, goodies are so in demand so I am expecting a higher amount of orders in the coming weeks. With the new strategy that I am talking about, instead of taking off 20-30% to savings, I would lower it to 10% for now until I could fully recover. I have then decided to get all my baking profits into savings automatically which allow us a higher chance of saving more. With that, I'll be able to see the savings growing higher than usual. I am praying this could be done according to my plan before the year ends - or so I say, 2 weeks from now. =) Am I happy? Yes! Happier than ever. Thank God for all the struggles, I am standing up tall and proud this time. =)

Financial Literacy: Emergency Fund

One of my goals this year was to build our emergency fund. Nice! But I failed to make it clear on HOW I’ll achieve it. So I revised my financial goals and managed our money even more. I am still new with this so there were times that Budgeting our Money was a little challenging. I never budget my salary ever since so this was a step ahead, I think. Anyhow, as I have a clearer goals this time (started June 2016 only), I am looking after the day that I would say, “Finally! Goal’s achieved”. I only have 4 months left before the end of the year and I am still on track. Yey! Although when I think about the start of year 2016, I hope I made this choice sooner than later but then, it’s never too late to start. =)

The first step in achieving financial freedom is to make sure that you have enough emergency fund to cover your expenses or immediate medical attention for any members of the family. In my case, I have Daryl and Jami to look out to. Aside from that, we have only one income source so I have to make sure we have money kept to cover us when the bread winner got sick and can’t go to work. 

What is an Emergency Fund?

From the word itself, it's the fund that you'll use in cases of Emergency - Health Emergency, Calamities, Sudden loss of Job etc. It is also suggested that you'll have 3-6 months’ worth of your expenses to make sure that you are able to sustain your immediate needs until you're back on your feet. Three to Six months is enough to recover from these emergencies without dipping into debts. However, I was thinking that saving Php20, 000 is really hard given all the expenses that are lining up, what more with Php50, 000 or even Php100, 000 for the suggested amount of your Emergency fund?

photo source: google

After a friend of mine discussed how she's going to save Php100, 000 until the end of the year, I got so inspired with her thinking and how frugal she was. So I made my own calculations and analyze our current state until I realized that yes! I could make it too.

So how did I plan to build the fund?

To start off, I want to have at least 3 months’ worth of fund since I will be too late to complete it to six months until the end of the year. According to my evaluation, I should have Php48, 000 to achieve my target of 3 months. Wow! I felt overwhelmed. I didn't know that our expenses are this big in couple of months’ time but it didn't stop me from looking for possible ways to achieve my goal. I have later on decided to make it Php50, 000 to close down the amount.

The question is how are we able to achieve the goal with a one income household?

Savings 

I honestly don't know how much money I was saving. I re-organized my income and found that I am putting 10.55% of my monthly salary in coop only to get the money saved and spend later in the year. I am using it for short goals like travel fund, or uses it for shopping for clothes, shoes etc. I also deposit 0.59% to Jami's savings account which I originally planned to be our Emergency fund however, it will take 36 months to achieve the Php50k goal so I have to revise it and come up with a realistic plan. With all these money, I have decided to put 20% of my monthly take home to savings. I still placed all of them in coop so it could earn a higher dividend compared to ATM accounts. As of this writing, the dividend that my shares earned is almost Php200/share in just 2 months! I am so happy with the result. That was just for one cooperative that I joined. The other one earned a smaller dividend because it was just starting although it earned close to Php200 in 4 months. Having these only completes 45.6% of my total money goal without the dividend the shares will earn at the end of the year.

Incentives 

I was really lucky that came 2015, our office started to give out incentives to its employees on our region. I am getting approximately 28% of my monthly salary every quarter and it is fully dedicated in building our emergency fund. I can't spend any more money without making sure that the fund is complete. The amount I’ll place will be 20% of my total goal.

Jami’s Passbook 

Instead of a Php500 deposit that I originally thought of, I decided to place half of the amount to cooperative to earn instead of making this small money sleep in the bank. Php300 is being placed as an additional share then Php200 will remain kept until it’s huge enough to be placed in the bank. The Php200 being kept will accumulate to Php2, 300 until December which will be the 4.6% of the goal. At this time, I have a single digit amount placed into the account which was the 13.4% of the goal. Back in June, I owe an amount to Jami’s passbook which I am looking forward to return and be added on our fund. It has a spot on the budget I created for the year so by December 2016, I’ll be able to return the money back that will make the 5%. Totally, Jami’s passbook will contribute 23%.

Adding them all up will make 88.6% of my goal meaning, I am short of 11.4% that I am still looking forward to complete by the end of the year. What I want was to complete the fund without touching my 13^th month pay as it will be allocated to holidays and another goal. I am positive that I will be able to create another source of income to complete all these in a matter of 4 months. =) As of this writing, I am at 35.97% out of 100% of my goal in just 2 months! Yey.. I am happy and I am not losing my focus! While thinking about the shortage, I am trying to improve on these two below;

Additional Income

One of the best decision I made this year was to buy an electric oven. I am now using it for additional income although I was looking for an upgrade since the orders could be a little more overwhelming for the size of my unit. Whenever possible, I put the profit back to my capital. I can't guarantee a huge amount of profit to be placed thru to our fund yet since I have a very small capital and I am looking forward to grow it even more. Once I reach a target goal for our capital, I’ll have earnings/profits to our savings or leisure.
 
Budget

Sticking to the budget is really important although I had trouble last month because it was our 10th year anniversary. I failed to allocate a budget for it simply because we have other more important things to do. I was just really glad that an opportunity knocked and Daryl had the chance to earn a day before and that was the money we used to celebrate. We even made sure that we won't go overboard our budget. We went to Manila Zoo and ate in a fast food to complete the night.

I don't want to say na perfect na ako financially, all of these are just based on my own experience and the situation that we are in as a family. I also just have a mindset and a goal that I want to achieve. There are times that I still wish to go shopping, buy new clothes, shoes, phones or camera but then, I realize we don't even have money to survive if I suddenly lose my job, why would I need a new dress or shoes? Now my goal was to continue everything until the end of the year. When 2017 starts, I could say I am even closer to my dream. =)

How I Budget our Money

When 2016 started, I was looking forward to be able to save more. I was planning to build our emergency fund so I could tick that off of our goals and proceed to the next priority. I haven't been this organize in my entire life in terms of finances and I never ever budget my salary back then. I spend my salary and would come up to the last thousand more than a week before my next salary. I lived paycheck to paycheck and would even come up short two days before the next salary. I have been a good spender really and that's one of the things that I regret. I started working in 2008 and never had the chance to save even a thousand. Could you imagine that?

Anyway, last month as I turned 26, I realized a lot of things in terms of finances. I have been reading financial books since last year and wasn't able to apply it in reality. I almost give up until I realized the culprit on why I wasn't able to save - I failed to budget our money. I was wondering why I can't build our fund faster (my plan was to put Php1000 per month only!). Anyhow, after kong matauhan, I was so inspired in building the fund and even having a target up until the end of the year to complete at least 3 months worth (ideally 6 months worth of salary). Since hindi ko na mahahabol pa to the end of this year the ideal amount, I would take just the half for a starter.

So how do I budget our money?

source

I am using the technique that I read in one of the books that I bought. It was the Kaya mo Pinoy! 12 Steps to Build Wealth on Any Income by Alvin Tabañag. He has shown a very simple way in budgeting an income which works for me so far. I have been using it for almost 2 months and the outcome is so far positive. Believe me, I bought and read the book last year but it was just now that I used it to my advantage. Now here's how I do it.

Budget should be divided into sections that is important to you and your family.

Section I. Active Income

According to the book, this is where I'll put my Salary. Any money that I received that requires my effort will be placed in here. I also include here the amount that I earn from baking. Passive Income should also have it's own section but since I don't have one, I skipped that part.

Section II. Savings 

I always remember the saying Income - Savings = Expenses and this is what I am doing at the moment. Before I proceed with the bills, I have savings to deduct from my salary to make sure that I get it to safety before digging into other things. At the moment, I am saving 20% of my salary which I am quite happy. In September, I am increasing it to 25% to achieve the goal I have set for Emergency Fund. By next year, I hope I could increase it to 30% and so on to achieve my goals sooner.

Section III. House Expenses

This is where our monthly rent goes along with electricity and water bill plus our drinking water. Our drinking water was the same water we use to make Jami's milk so I really have to allot some amount for it.

Section IV. Consumer Loan

One of the next important thing for me was to pay off my loans and money owe from friends and relatives. I listed down all of them and paid them one by one in order where I could delay some of them like those from a friend that I asked to pay a little later or made it installment so I could pay more than one every 2 weeks. I started this technique on 3rd week of June and looking forward to complete all of them by September. One of the things that I learned from financial books was to pay your debt so you could sleep comfortably at night and free up the money you're using to pay for savings eventually. Having a budget allows me to figure out how much money I have to allocate in paying our debts. I am so happy to see the amount going down as the weeks go by. I also keep track of them to make sure that I won't left something behind.

Section V. Other General Expenses

I have my last section tagged as General Expenses but it is divisible by a lot of other things. I kept them in a single section since these are the things that I could cut down on in case our budget is tight. I am just so happy that at some point or two there were unexpected money that Daryl could shell out too to cover for some necessities.

Groceries - I only buy those that we need the most and can be used for the next 2 weeks. I buy my detergent and fabric conditioner etc. in the mall and get fresh produce in the local supermarket. I prefer to buy them on the same day that I'll cook them rather than buying them ahead of time. I also bring pack lunch in the office so I won't have to spend more.

Transportation - I am lucky that Daryl's Mom shoulders the cost of gas for their car so I can get to work. I only have to spend Php7 for jeepney from Pasay to Magallanes. I also allot money for our tollgate.

Work Allowance - This is for some money I use in buying snacks in the office.

Entertainment - Last month until August, I placed our entertainment budget on hold to give way in paying some debts. Our entertainment fund goes to our dining out, movies, going out, travel etc. I am looking forward to get them back up in August for some fun time. :)

Unexpected Expenses - More often than not, there were times that an unexpected expense comes up so I make sure to protect the budget by allocating some amount into it as well.

Babe's Budget - I am allocating a budget for Daryl that he could use in looking for a job. Since we're having trouble with time management (he's in charge of baby sitting), he can't spend his whole day of weekdays applying for a job because I go to work and no one else would look after Jami. 

I am using an excel sheet to keep track of my budget and print it out during paydays so I could tick off those that are paid. From time to time, I am updating the budget according to our situation but I always make sure that I follow these sections accordingly. I have yet to learn so many things about budgeting and one of them was the shortage I had two weeks ago. My budget says I was short of this amount. Instead of me adjusting the budget to make it zero or positive, I kept it on negative thinking that I'll be able to create another cash flow to cover it. But I didn't so I struggle on that for a bit. Moving forward, I make sure that if the budget says negative, I have to make sure that I'll adjust those that are listed down to make it Zero or even positive or we have to work double time to increase our cash flow.

I hope that this will be beneficial for you too as it was to me. I am keeping this until forever as it's very important to budget the money that we worked hard for. =)

52 Weeks Money Challenge Monthly Report : July

I have waited until today to post about my 52 Weeks Money Challenge Monthly Report for July.

Why?

Because I borrowed some amount 2 weeks ago and waited for it to be replaced. So this means that as of this writing, I have the money complete na. =)

It was really hard to keep up when you haven't had a choice but to at least borrow some amount kasi short ka nung nakaraang payday. Haha! That somehow reduces your confidence to finish the challenge since you can see your money going down. However, as long as you can make sure that you can return the money then I think it's fine. =)

Today, I am at Php 7520 as of this writing. I have finally been able to save money more than P1,000 hahahaha! It was a huge achievement for me. I have been telling my friend that I saved this much na in following the 52 Weeks Money Challenge. It is too early to say this but I have been saving a template na for my next years challenge. I am more than half of my journey and another half wouldn't hurt since I am paying just the same amount of money every payday. =)

You may want to view my journey from January, February, March, April, May and June. =)

How are your challenges going guys? 

52 Weeks Money Challenge Monthly Report: June

Well, it's been half of the year already!! =)

Whenever I think about me being able to keep up with the challenge really makes me happy. One of the things that motivates me to continue saving was this blog. Since I announced to the world wide web that I am into 52 weeks money challenge, I want to make sure that it will be successful so I could be an inspiration to other people who would like to start saving as their habit.

You can read my progress from January, February, March, April, and May. 

Honestly, the last two months, I have been struggling to keep up. I have so many plans and celebrations that lined up and I need extra money to buy gifts, to celebrate my birthday and to basically put a remedy to our payable in our one income household. There were also temptations around that I am really itching to spend the money already.There were mall sales going crazy around the metro. SM went on clearance sale, my favorite brand went on madness sale, and I have recently discovered zomato where I find the joy of trying out new restos around that brought me to liking another thing which I'll be blogging about next (that's why you would notice that I am posting more of food now).

I am always having a second thought and knowing that I have a saving that I can put my hands on anytime makes me go Oh-lala. I am pretty complacent because I am expecting an amount of money at the end of July and I was thinking to spend the money I have saved then will replace it as soon as my money comes.

I tell you, it's a very very bad idea. I have spent some amount from the savings and I owed P2,580 which was a huge amount na. Based on my tracker (customized 52 weeks money challenge chart for people who are employed), I suppose to have P5,930 already.

However, because some things came up where I need to shell out money, I borrowed a total of P2,580 (I had some P100-P200 spare money included on the savings). I will be able to return the money anytime this month of July and I can't wait to see that the amount is complete. I would just like to give emphasize on how important it is to make sure to "Pay yourself first".

And since I have broadcasted that I am running low on this challenge, I am motivated to still complete this challenge no matter what. Why? Because (1) I can sleep better at night knowing that I am not sagad na sagad when it comes to money and (2) peace of mind in case of emergency situations, I have something to start with.

Anyway, I'll be crossing out the first half of my tracker as soon as I return the money back on my 52WMC.  I am still happy and feel accomplished that somehow I am making a change of habit. I actually didn't feel anything until I saw that I am building it.. fast! =) I hope you guys too were having fun with saving. =)

52 Weeks Money Challenge Monthly Report : May

I can't believe it's been half of the year and I am alive and kicking in terms of my 52 Weeks Money Challenge!! I am doing the happy dance right now! =)

You may read my journey from January, February, March, and April.

Although, I have to admit that I had struggles along the way. Savings wasn't that hard for me because I make sure that I pay myself first before I withdraw my money every payday. I usually allot one thousand pesos (which was suppose to be P530 only) to be left on my savings account and budget the money that's left thereafter.

It became harder this month because I have been so much of magastos lately and I am paying the price of it now. We actually had 3 paycheck for the month of May which only comes twice a year - May and October. Instead of me saving some amount so it won't be too much of a hassle on the last paychecks when most of our utilities are being paid off, we ate out too much in the previous days so the last paycheck was then allotted to paying the bills.

Gosshh! I have to rearrange things and make sure to spend money wisely on the coming days.

Honestly, I just felt that every time my birthday month comes, ang poor poor ko talaga! I am not sure kung nagkakataon lang but it has been 2 years since I realized it at eto na naman sya.. Gossh!

It was really funny I kept thinking about it na sa tuwing darating ang birthday ko, ang bigat ng mga araw! Hahaha. I was joking around last weekend..

Me: Alam ko na kung bakit wala akong budget this month. Malapit na kasi ang birthday ko eh.

Me: Bakit kaya? Hmmm.. (Deep thoughts..)

Me: Ahhh! Alam ko na! That was because summer just ended so ayan nagtataasan ang mga utilities like electricity and water bills then back to school din so everyone is so busy and empty pocketed!

Hahahahaha... Maglagay talaga ng malisya diba? May masabi lang..

I should not feel that way kasi birthday ko diba? I just feel.. Anyway, I have to make sure on the coming years na ready ako before my birthday comes. Hahaha! =) I'm so impressed with ants kasi they are everywhere nowadays. They're getting ready for rainy season. Nice! =)

These are the months din when malls get 50%-70% sale because of their back to school and end of summer sale. I was thinking na gumastos pero iniisip ko na lang na I have 7 more months to go! Nagawa ko na ang first 5 so why not hindi tapusin diba?!

So far, here's where I stand in my savings..

My version of 52 Weeks Money Challenge

 I am on May 31 to June 6 bracket already (since I am getting paid every 2 weeks, I am paying 2 slots every pay day), that means, I have P4,870 on my savings which I am glad to tell that, Yes! I made it.. Although there were times na mejo nakakaluwag and I am putting some amount more than my usual savings, mejo nadadagdagan ang amount. Hindi naman kalakihan pero better than wala diba?

Anyway, I am really glad about the result of this newly found habit. Sobrang layo from where I was years ago. I know very small pa lang ang savings pero at least I have something at the back of my mind. The money will be continuously saved even after the year ends as it will be added sa emergency fund namin. =)

I am hoping that everyone's challenge is a success too. =)

Till Debt Do Us Part by Chinkee Tan

Last month, I have been drawn in reading books - Financial and practical books to be exact.

Tungkol sa kaperahan, in short.

Well, I can't seem to remember why I have decided to invest in books because I am the type of person na boring na boring sa books. Yes, I love to write but not read. I remember when I was younger, I am so lazy to open up a book. There were times na I feel obliged to read, I am pretending na binabasa ko where in fact, hindi ko naman naiintindihan. Hahah. :p

Well, I was thinking that one of the factors of not loving books is because of not being exposed to it early in life. That's why, I wanted to see if James would love books by having an early intervention, like giving him books more than toys and having a bedtime stories.

Anyhow, I saw this book from National Bookstore in Metropoint Pasay while waiting for Daryl.

I was so intrigued with the title of the book and I want to get it right there and then however, it wasn't on the budget so I've waited for about 2 weeks or more before I got the book. =)

It took me a while to finish the book since I can only read it on during some free time in the office and in the house. I wasn't really that impressed with the book since I think I wanted to learn more techniques and other stuff about money. Although the book used a very mababaw na English to better understand, there were some part that I think was a little bitin. There were parts of the book that I enjoyed since for me, it's malaman and some parts were a bit boring.

One of the things that I really loved in the book was the 6 Fundamentals of Financial Freedom:

1. Get Debt - Free
2. Build 1 to 2 month Emergency Fund
3. Build a 3-6 months long term savings
4. Make major purchases ( house and car)
5. Make long term investments (Educational, Pension, Retirement Fund)
6. Investment in Stocks and High Risk Investments. 

Well, those steps given really make sense diba? How could you be financially free without having the first or second done first?

There were more things and explanation on the book that pointed out as to why those steps where really important. Also, from the title of the book, there were chapters that explains "What is Debt" and why people get into debt. Of course there were sections too that teaches you how to get out of debt slowly but surely. It also discuss about budgeting. That was actually the part that I felt a little bitin because it discussed the budgeting ng slight lang. I think that part deserves a little more exposure since most Filipino (including myself) doesn't stick to the budget or doesn't know how to make one.

Anyhow, I am still going to buy one of Chinkee Tan's book that I am eyeing for the longest time. Once I have a budget on that then I'll be posting another book review.

I bought another book din pala which I'll be blogging about kapag natapos ko. =)

Any money tips you can give?

52 Weeks Money Challenge Monthly Report : April

Goodbye April and Hello May!!!

It has been 4 months now since I started my own 52 Weeks Money Challenge and I can't believe that I actually survived 4 months with it. I made my own template which I have shown on my previous post. That template as I said made it easy for an employee who's getting their salary twice every month.

I have struggled this month in building my 52WMC due to some confusion in my savings. I am actually trying to keep different savings for different purposes however, I got confused when I got them altogether. There was this time when I have used one savings to start up a small business which made me all confused.

Confusing kasi first time ko nga lang mag ipon diba tapos sabay-sabay pa so mainly, I have not established a good plan on how I'll save them so what I did, I used one of the savings as my capital on my direct selling business and then kept the money of 52WMC as it is so it would be easier for me to track it.

The other saving that I am talking about was now paikot-ikot as my capital including the profit. As much as I can have the profit being saved or used as a capital, ginagawa ko unless dumarating talaga ang petsa de peligro na kailangan kong humiram from it. I'll just make sure that it'll all paid up when my money came so instead of me borrowing money from someone else with or without tubo makes me feel a little secured. Little lang kasi it means, I am not budgeting the money well kaya kailangan ko pang mang hiram sa savings and it's profit. That's one thing that I have to keep an eye on.

Anyhow, I would say that the challenge is still on and that I am on track of it.

Here's the template,

I am more than halfway na from the first part. Yehey!!

Anyhow, I still have 8 months to work on. =)

Honestly, after I took this challenge seriously, It didn't feel so hard for me to allot a specific amount of money every payday. It broke the old habit that I have which really made me happy. Aside form this, I still have money away from this na naiipon and nag e earn ng dividend thru Coop dito sa office. =)

So how's your own version of 52WMC? Let me know!! =)

Let's get Financially Knowledgeable

Hi Mothers!!

Sorry for being absent for the last couple of days. I have blogger open waiting for your posts and leaving comments on some blog posts pero I can't seem to create my own entry kasi.

Nowadays, I am really busy reading books (on PDF), checking blog posts and researching about financial matters. You see, it has just been now that I got somehow, financially manageable. I remember my 20-ish self celebrating life to the fullest. I started working at the age of 18 after my Nanay said that she can no longer send me to college. I felt bad somehow pero I got excited din that I will then work and start to earn my own money. I found my first job 3 months after I stopped going to college.

I had my first salary, I even asked Daryl to go with me on one of the banks in Pasay to check if my pay check has been deposited. I was really shock seeing P4,000+ on my ATM. Hahaha! I don't know what to do. Nagtampo pa si Daryl na di ko man lang daw sya nilibre ng Jollibee. Hahahaha!

Fast forward to today, I have James who fully depend on me in terms of everything so I have to become financially capable. I feel weird talking about finances talaga because it wasn't me as far as I remember pero being a mother changed a lot in me. Isa na to dun. Daryl and I are living on our own now. Although we sometimes get help financially by his Mom, and somewhat Nanay too, I wanted to think differently. It was really funny talking finances to Daryl because he knows me well with money.

One night, I was talking to him about being financially free, being a millionaire and retiring a millionaire too. All he did was to nod then said "Ang tanda mo na mag isip, Be." hahahaha. I just "oh yes, I am.". I have too.. I mean "we have to" diba?

Well, kaya ako nagkakaganito nowadays kasi, I saw my officemates' book entitled "Kasusweldo pa lang, Ubos na" by Vic & Avelyn Garcia. It teaches how you could minimize your spending which was for me was really informative. It teaches you on how you could live below your means.

I also borrowed the book (from the same officemate) "Kuntento ka na ba sa Kaperahan mo?" from the same author discussing how you could track your finances and how you could manage to save. There were some example forms provided too which I find really interesting. I am excited to have it applied on my life..

Pero olats.. waley..

Hahaha! Hindi ko na handle ng maayos because Daryl and My paychecks fall a week apart so mejo alangananin ako. When the time came na alam ko na ang diskarteng gagawin ko, Daryl decided to resign. Yes, you read it right. Wala sya work now and in search pa. After some reminders, mas tumimbang sa kanya ang mga reason to leave so I respect it. Currently, mejo relax pa kasi kakaalis lang nya so hopefully, makabawi din sya before the month ends. First of all, aasikasuhin muna nya ang mga lisensyang kelangan nya so he could apply sa airport. Bless us, Lord!

I also read Bo Sanchez' "8 Secrets of the Truly Rich" which was a very nice book if you're going to talk about finances. I have read his "My maid invests in the stock market" last year naman which I forgot and was not applied sa aking everyday life so hopefully, this time, I'll be able to make it. I am really motivated so push ko na talaga 'to.

Now, here's my plan.

I want to build an emergency fund first kasi this is what mostly the books and blogs are telling me. I have to have one for emergency situations such as: 1.) unemployment 2.) Calamity 3.) Sickness. Based on what I read, ideally 6 months of your monthly salary. Mejo malaki for me so to make it more realistic, I wrote down 3 months lang muna. After that, I can continue with the other 3 months pa. I even checked kung saang bank ko ito ilalagay and I choose BDO for it. It was just funny kasi when I went there earlier, the teller discussed that it would be good kung sa savings account na lang muna. What she's trying to tell me is that, I can easily withdraw money kung gagamitin ko which was ideally what emergency fund should be. I was thinking about it still kasi I have a savings account na walang laman sa BPI already. I think I would just have to keep that don't you think?

Next, Pay off debts. It was surprising pero true. If I want to be able to invest later on and be ready for my own retirement, I should be debt free. Honestly, I don't know how I do it pero I am sure there'll be a way. I just have to figure it out. As much as possible now, I am trying to avoid debts and gladly, hindi ko na nadagdagan ang dati. I just have to find a way to pay off my credit card debt and I should be okay.

Then, Invest. The earlier, the better. Investment is a matter of time and money. I have plenty of time before retirement then I will give my money a plenty of time too to compound. I am really looking forward to that. I am trying to study more about it and surely, after kong ma fulfill yung emergency fund then I can proceed with investment. It was funny kanina sa BDo nga when I inquired of their service, the teller asked me, how old am I. I said I'm 24 turning 25. The teller replied "Ay, sobrang bata." Napasagot tuloy ako na "Ilang taon po ba dapat? (to avail of their service). Tapos sabi ng teller, "Hindi, mas bata, mas ok." Hahaha. Muntik na akong matawa kasi akala ko she's trying to tell me na hindi pa ako pwede kasi ang bata ko pa. Anyhow, I was thinking of which service to get. For the mean time, my focus was to reach my emergency fund's goal/ My 52 Weeks Money Challenge, Coop Money and Other surprise Money will go there. Sana by the end of this year or early next year, ma reach ko na ang goal! =)

Have you read their books too mother? Any tips on savings and investments?

52 Weeks Money Challenge - Customized

One of my New Year’s Resolution this year is to Save Money. Last year, when I was introduced to Mommy blogs, I was also able to see Kurpot Pinay’s template of the 52 Week Money Challenge. Back then, she took the 50 increment and monthly, she’s having an entry on her blog to report her progress. I was really amazed on how she managed to keep her goals. Dahil jan, peg ko na sya this 2015!

Yahoooo!!!

Since I am in the new phase of living my life – my own rented house, having a nanny, everyday food etc., I am trying my best to discover the world of budgeting. Before kasi, dedma lang sakin yang budget budget na yan. If I want something, go lang ng go.

So what I did early this year was to write down the things that I want to accomplish then cross them out when it’s done. Good thing meron din akong planner kaya I am reminded of the plans. It’s my first time to do all these things so come and join me in fulfilling this goal of mine!! =)

For me to save this year, I chose the 52 weeks Money Challenge in 10 peso increment. I think for our budget, it would be enough lang. At least it would be realistic and hindi ako mahihirapan when I reach the highest amount particularly in the next couple of months.

I have read, Mommy Joy of Happiness of Joy that she took this challenge too, only she started from the higher amount going to lowest.

You see, you can customize this challenge on your liking. Of course you have to consider your budgets, money and as to when do you get your pay from your employers. You have to set a challenge that you think na kaya mo naman unlike setting up a higher goal then on a later part, hirap na hirap ka naman ma fulfill at ang ending, give up ka na lang.

Let me show you my template, 

I copied the template from Kuripot Pinay’s blog and printed it out. I am actually thinking if I can reach the goal on the later part. I think I would have a hard time so I decided to jumble the template.

I actually sandwiched the small amounts with the bigger ones so I won’t be that stressed with the amount that I’ll save. In my case, I get paid every 2 weeks so biweekly, I can manage to at least get the required amount for me to save. I actually got the first month of January covered since small amount pa lang so I did the sandwich approach to the months of February – November. I left the December as it is because I would have my 13^th month pay to cover that month. It might look confusing to you but what I did was, I had the small amounts increasing every week while the huge amounts are decreasing. It would appear that I will pay Php530 biweekly.

As I mentioned, I got the January covered that’s why hindi ko na sya sinali sa arrangement along with December. So far, I had Php100 as per tracker.

I think this template would work if you:

* are too excited to see your savings grow. I admit that my previous goals in saving money wasn’t successful because I get so bored waiting for it to grow. I want to see it doubled or tripled but since minimum amount lang, mejo mabagal ang pag grow ng money which in the end, tinatamad na lang ako. With this template, there were weeks that you would save a bigger amount which would build up fast din.

* are being paid biweekly or twice a month (15^th and 30^th). Most employees get paid twice a month only so it would be a burden if you would have to save for the weeks that you don’t get your salary. I actually encountered this last year where I was only able to complete a month. Aside from the fact that my goal was unrealistic with what I can save every week,  I had a hard time saving for the weeks na wala akong sweldo. I learned from so I customized it to give way for those weeks in the middle of payday to save a minimal amount. With this template, I would save Php530 biweekly. In this way, I am aware of this certain amount that I have to save on my salary every now and then. Say for example, the week of Feb 1 – Feb 7 and Feb 8 – Feb 14 would be a total of Php530. That same goes to other weeks.

* don’t want to get bothered on how much your next two weeks would be since you would only pay a certain amount. Using the regular template, there were weeks that you have to pay Php210 and Php220 which would be a total of Php430 then the next two weeks after that would be Php470. Although it would be couple of tens higher, it would be a lot harder for the months of July, August and September onwards.

I took up this challenge so I’ll be able to fulfill one of my New Year’s Resolution for 2015. I customized it the way that it would be fun and easy considering my budget and my salary. Who knows? If I can ace it by the end of the year, I may be able to go up to 20 increment right? =) #positivebivelang

San ko ba gagamitin ang pera?

Emergency Fund. I wanted to have what they call “Emergency Fund”. This would be used only for emergency purposes like hospitalization, calamity, or unemployment. They said that Emergency Fund should be 6x of your monthly salary. I won’t go to that yet kasi it would be really hard for me so I would start with this. I am looking to put this on a savings account for the mean time. I am also considering the amount of Php13,780 to open an account and play a game with stock markets but I don’t want to go that far yet. I don’t know anything about stocks so ngayon, savings muna ako. Who knows? Magka idea ako in stocks before the year ends. =)

What I was planning to do as well is, instead of saving Php530 pesos bi-weekly, I would make it up to Php600 so there would be an extra Php70 which will become a total of  Php1,540 if my calculation is correct. (52 weeks – weeks of January and December (8) = 44 divided by 2 (biweekly) multiplied by Php70). Tell me if I calculated it wrongly ha?! So with these, I would end up having a total of Php15,320 by the end of this year.

Anyone can actually make this 52 weeks money challenge. You just have to make sure that you customized it based on your capability. I hope I could stay on focus in reaching the goal! So help me God! =)

How about you muthers?! How do you plan to save money?